Shell and PetroChina sign Gorgon deal

Shell said today it had signed a heads of agreement with PetroChina for the supply of liquefied natural gas from the Gorgon project in Western Australia.

Shell said it would sell 1 million tonnes of LNG per annum to PetroChina under the 20-year contract.

The two companies will work to conclude a detailed LNG sales and purchase agreement before December next year, it said.

Chevron holds a 50% stake in the Gorgon project while ExxonMobil and Shell each have a 25% stake.